Companies /Technology

SoundHound AI Inc - Class A

NASDAQ: SOUN Software - Application
$7.21
â–² $0.20 (+2.83%) today
Markets open · 3:25pm ET

Q4 2025 Earnings

Reported Feb 26, 2026, 4:30pm ET · SEC source
$-0.02
Miss −9.29%
EPS · est. $-0.02
$55.1M
Beat +1.99%
Revenue · est. $54.0M
−14.9%
Trailing market
SOUN vs S&P since report
1 quarter
Consecutive EPS beats

Market Reaction

% change · around the report
−4%0+4%Feb 26Feb 27report 4:30pm ETearnings−0.7%−5.6%
−4%0+4%Feb 26Feb 27earnings−0.7%−5.6%
SOUN −5.6%S&P 500 −0.7%
−4%0+4%Feb 26Feb 27report 4:30pm ETearnings−0.6%−5.6%
−4%0+4%Feb 26Feb 27earnings−0.6%−5.6%
SOUN −5.6%NASDAQ −0.6%
−10%−5%0+5%Feb 25Mar 6report 4:30pm ETearnings−2.3%−9.9%
−10%−5%0+5%Feb 25Mar 6earnings−2.3%−9.9%
SOUN −9.9%S&P 500 −2.3%
−10%−5%0+5%Feb 25Mar 6report 4:30pm ETearnings−1.4%−9.9%
−10%−5%0+5%Feb 25Mar 6earnings−1.4%−9.9%
SOUN −9.9%NASDAQ −1.4%
−4.23%
Day of report
+0.23%
Next session
−6.16%
One week
−20.12%
30 days

S&P 500 over the same 30 days: −5.20%.

Did SOUN Beat Earnings? Q4 2025 Results

SoundHound AI delivered a <a href="https://247wallst.com/investing/2026/02/27/soundhound-ai-stuns-with-80-eps-beat-and-voice-ai-expansion-keeps-accelerating/">stronger-than-expected quarter</a> to close out fiscal 2025, posting Q4 revenue of $55.06 million — up 59.4% year-over-year and modestly ahead of the $53.98 million consensus — while its loss per share of $0.02 came in far better than the $0.0983 analysts had anticipated, a beat of nearly 80%. The standout driver was a record volume of enterprise deal closings across automotive, restaurants, financial services, and healthcare, with notable wins including a new Korean OEM, an iconic Italian sports car brand displacing its existing voice assistant, and restaurant expansions with Panda Express, IHOP, and Jersey Mike's. Non-GAAP gross margin widened to 60.5% from 52.1% a year ago, and adjusted EBITDA loss narrowed to $7.43 million from $16.79 million, reflecting meaningful operating leverage. For the full year, SoundHound reported $168.92 million in revenue, nearly doubling FY 2024, and enters 2026 guiding for $225 million to $260 million — a trajectory that underscores accelerating enterprise adoption of its agentic AI platform, even as questions around long-term profitability remain a focus for investors.

Key Takeaways
  • Record number of enterprise customer deals closed in Q4
  • AI disruption of legacy software creating strong demand tailwinds
  • Broad-based customer adoption across automotive, restaurants, financial services, healthcare, insurance, telecom, and retail
  • Non-GAAP gross margin expansion to 60.5% in Q4 from 52.1% YoY
  • $84.6 million non-cash gain from change in fair value of contingent acquisition liabilities boosting GAAP results

“As traditional software faces massive AI disruption, businesses are looking to partner with AI natives that can help them achieve success in a new era. This is creating strong tailwinds for SoundHound.”

SoundHound AI CEO, on the earnings call

Forward Guidance & Outlook

SoundHound's full year 2026 revenue outlook is expected to be in a range of $225 million to $260 million, implying significant continued growth from the $168.9 million reported in FY 2025.

SOUN YoY Financials

Q4 2025 vs Q4 2024 · SEC filings Q4 2024 Q4 2025
$0$20.0M$40.0M$60.0M$34.5M$55.1MRevenue$13.8M$26.4MGross Profit$19.7M$42.6MOperating Income$18.6M$40.1MNet Income
$0$20.0M$40.0M$60.0MRevenueGross ProfitOperating IncomeNet Income

Figures from SEC filings and company reports. Not investment advice.